Johannesburg – Introducing control measures for supply chain management (SCM) such as an e-tender portal for tenders, could help reduce irregular and fruitless and wasteful expenditure.
This is according to Yugen Pillay, partner and regional lead of the public sector at Grant Thornton. Pillay provided analysis on the audit results by the Auditor General South Africa (Agsa) which were released this past week.
The results revealed that irregular expenditure had increased by 80% over the past year and by 40% over the past three years, to R46bn. According to the report, the main reason for the increase is non-compliance with supply chain management rules.